comparing the competitive advantages between mcdonald and kfc, for young consumers in hsinchu area....

Comparing the competitive advantages between McDonald and KFC, for young consumers in Hsinchu area.

Professor: Dr. Trappey Students: 陳嘉麟 9562503 蔡林龍 9562502 吳晉瑋 952028

Introduction

Literature review In Taiwan, McDonald grew up fast and successfully with flexible

marketing strategies and QSC&V (Guang-Shiash Hu, 2000), Although

McDonald adopted the marketing strategy of cutting prices, the consumers

will not increase their consuming amount. (Wei-Hua Chen, Chia-Chun

Tsai, 2003) Only the improvement of utility and enjoyment will raise

up consuming amount (Yi-Wen Wang & Ming-Tsung Lee,2005).

Define the problem and market research questions.

Comparing the competitive advantages between McDonald and KFC.

The target population is the young consumers (under 30) in

Hsinchu City.

Methodology

Hypotheses

Survey

Statistical Analysis

Research Finding

Conclusions suggestions

Research Framework:

We will use the approach of setting up a questionnaire concerning customers’

preference. and collect results from young consumers in Hsinchu area, to compare

the advantages between Macdonald and KFC when customers choose western fast

food chains. The Hypothesis were shown below

Hypothesis1To compare with KFC ，” Environment” is a competitive advantage of McDonald

Hypothesis2To compare with KFC ，” Food selection” is a competitive advantage of McDonald

Hypothesis3To compare with KFC ，” Price” is a competitive advantage of McDonald

Hypothesis4To compare with KFC ，” Brand image” is a competitive advantage of McDonald

Hypothesis5To compare with KFC ，” Service” is a competitive advantage of McDonald

Hypothesis6To compare with KFC ，” Taste of Food” is a competitive advantage of Macdonald

Data Collection Plan:

What: to compare with the advantages of Macdonald and KFC

in young consumers in Hsin-Chu

Where: Macdonald and FKC in kung-Fu Rd.

Who: Young Consumers (under 30 years old)

When: 23 May

How: Adopting questionnaires

How many: 70 valid questionnaires

Results and Finding

Beliefs of Young Consumers:

When young consumers selected a fast food restaurant, they care about the service and taste of food most.

Hypothesis 1 : To compare with KFC ，” Environment” is a competitive advantage of McDonald

Dat

a

KFCMac.

50

45

40

35

30

25

20

Boxplot of Mac., KFC

Hypothesis: Ha: μM>μKFC

Two-sample T for Mac. vs KFC

N Mean StDev SE MeanMac. 70 33.50 8.05 0.96KFC 70 33.46 6.20 0.74

Difference = mu (Mac.) - mu (KFC)T-Test of difference = 0 (vs >): T-Value = 0.04 P-Value = 0.486 DF = 13

P-value>0.05, Do not Reject H0,

Environment is not a competitive advantage of

McDonald

Dat

a

KFCMac

50

45

40

35

30

25

20

Boxplot of Mac, KFC Two-sample T for Mac vs KFC

N Mean StDev SE MeanMac 70 33.74 7.08 0.85KFC 70 33.74 5.59 0.67

Difference = mu (Mac) - mu (KFC)T-Test of difference = 0 (vs >): T-Value = -0.00 P-Value = 0.500 DF = 138



Food selection is not a competitive advantage

of McDonald

Hypothesis 2 : To compare with KFC ，” Food selection” is a competitive advantage of McDonald

Two-sample T for Mac vs KFC


Difference = mu (Mac) - mu (KFC)T-Test of difference = 0 (vs >): T-Value = 1.81 P-Value = 0.037 DF = 130

Dat

a

KFCMac

50

40

30

20

10

Boxplot of Mac, KFC

Hypothesis 3 : To compare with KFC ，” Price” is a competitive advantage of McDonald


P-value<0.05, Do not Reject H0,

Price is a competitive advantage of McDonald

Dat

a

KFCMac

50

40

30

20

10

Boxplot of Mac, KFC

Hypothesis 4: To compare with KFC ，” Brand image” is a \ competitive advantage of McDonald






Brand image is not a competitive advantage of

McDonald




Dat

a

KFCMac

50

45

40

35

30

25

20

Boxplot of Mac, KFC

Hypothesis 5: To compare with KFC ，” Service” is a competitive advantage of McDonald



Service is not a competitive advantage of McDonald

Hypothesis 6: To compare with KFC ，” Taste of Food” is a competitive advantage of Macdonald

Dat

a

KFCMac

55

50

45

40

35

30

25

20

Boxplot of Mac, KFC Two-sample T for Mac vs KFC





Food is not a competitive advantage of McDonald

Factors Blief

Mean(Belief times

Rating)

STDDV(Belief times

Rating) T-value

P-value

McDonald KFC McDonald KFC

Environment

5.04 33.50 33.46 8.05 6.2 0.04 0.486

Food Selection

5.03 33.74 33.76 7.08 5.59 0 0.5

Price 4.99 34.00 30.87 11.3 8.81 1.81* 0.037*

Brand Image

4.81 34.40 32.16 9.76 8.91 1.44 0.076

Service 5.26 38.21 35.96 8.82 8.51 1.54 0.063

Taste of Food

5.27 37.66 36.79 8.01 7.36 0.74 0.231

Summary Table of Test:

Conclusions &Suggestions

Conclusions:

(1) When young consumers selected a fast food restaurant, they care about the

service and taste of food most. In order to increase the market share of young

consumers, restaurants have to put most effort on the service and taste of food.

(2) Young consumers consider that the McDonald provided a more reasonable

price than KFC. To McDonald, it’s a advantage to KFC and should be maintained.

On the other hand, KFC should make a detail research about the reason why young

consumers have such recognition about the price of two restaurants.

(3) We found that every factor, the all standard deviation of McDonald were greater

than KFC. It possibly means that young consumers give the more diverse rating

on McDonald.

(4) We got the marginal p-value on service and taste of food and that could be

the latent competitive advantages of McDonald.

Suggestions:

This is just an explorative research. Seventy questionnaires maybe not sufficient

to get the precise results. Enlarge the number of the respondents is the first

suggestion in future research. Moreover, most our respondents are senior

high school students, we may lack the opinions of college students and others

who are under 30 years old. Why young consumers think the price of McDonald

are more reasonable, a detail research is needed.

Thanks for your Attention

Professor: Dr. Trappey Students: 陳嘉麟 9562503 蔡林龍 9562502 吳晉瑋 952028

comparing the competitive advantages between mcdonald and kfc, for young consumers in hsinchu area....

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